Abstract

Pressure across companies to succeed in an atmosphere of constant, systematic and uninterrupted change has brought to the fore; the increasing importance of strategic decision-making as a crucial element for competitive advantage. However, empirical evidence shows that decisions fail half time. An empirical study was carried out among a sample of 88 companies in Chile to test the relationship between the quality of decisions and a set of variables that define how top management teams adopt strategic decisions. The findings are worthy of note since, on the whole, the explanatory capability of variables such as rationality, politicization, conflict, flexibility, and procedural justice among top management account for 82.9% of the quality of strategic decisions.

Key words: Strategic decision-making, rationality, politicization, conflict, flexibility and procedural justice.